Research

Menu

Back

Choose Language

January 23, 2019

News

Interim Asset Allocation Committee – January 22nd 2019

The Investment Committee met today to assess our positioning in light of current market dynamics.

We find ourselves in a benign market context, with positive sentiment having made a come-back. In January, investors have demonstrated a renewed appetite for risk and are once again seeing the glass as half full. As a result, equities have made a firm recovery - since the S&P 500’s nadir on Christmas Eve, it has clocked four consecutive weeks of gains, led by Financials, Technology and Industrials.

Now that we are out of the trough, we take this as an opportune moment to rebalance the risk across our portfolios and lock-in part of the profits realized on the equity exposure since December’s lows. To do so, we will reduce our equity overweight in each risk profile – but we remain positive (i.e. overweight) on equities since our fundamental view is unchanged.

We keep the cash in high quality liquid bonds, because we did not want to engage it in another type of risk in the midst of the earnings season, and we wish to be able to deploy it again rapidly should the circumstances justify. But of course, we stand ready as well to cut risk further if we see a clear deterioration in fundamentals, making our equity overweight irrelevant.

 
Strategic Asset Allocation
 


More

January 25, 2024

News

Video summary of our Outlook 2024

In 2023, markets have navigated between optimism and pessimism, but landed on the optimist shore In 2024, we should continue to see volatility dictated by...

January 23, 2024

Bilboard

BILBoard January 2024 – Are we there ...

Economic overview The Fed and the ECB have concluded their hiking cycles. The easing cycle is likely to begin with the Fed (but later than...

January 23, 2024

News

2024: A moment of truth for the globa...

2024 will usher in the Chinese year of the dragon, considered the luckiest sign of the zodiac. This, and the fact that 24 is the...

December 22, 2023

News

BIL Investment Outlook 2024

Nothing but sun... and the grass which looks green? Our Investment Outlook for the year ahead is now available in English and French    ...

November 21, 2023

News

What’s taking the wind from the renew...

The Copernicus Climate Change service reports that October 2023 was the warmest October on record. The same can be said for July, August, and September...

All articles